Amazon Vendor WePay vs TheyPay - What's the Difference?
If you're navigating the world of Amazon Vendor Central, you've likely come across two key freight models: WePay and TheyPay. These terms can significantly impact your logistics strategy, margins, and operational efficiency. In this guide, we’ll break down what each model means, how they function in practice, and how to choose the right option for your business. Whether you're new to Amazon Vendor or looking to optimise your existing setup, understanding these freight terms is essential.
2025 Update: Amazon is approaching more and more UK/EU vendors to join the collect programme. Find out more details below.
WePay – Also Known as “Collect”
Let’s start with WePay, also known as Amazon’s Collect freight model. In this setup, Amazon covers the cost of shipping from your warehouse to their fulfilment centre and takes responsibility for the goods once they’re picked up. Simple, right?
This freight model is especially common in the U.S. and Canada, and while it might sound like a nice hands-off option, there are a few moving parts you’ll want to stay on top of.
How It Works
Since Amazon is calling the shots on the shipping side, they need specific details to choose the right carrier. That’s where the Advance Routing Notification (ARN) comes in. It’s your way of saying: “Hey Amazon, here’s what’s leaving the building.”
The ARN includes:
- Your requested pickup date
- The number of boxes and pallets
- Pickup and delivery locations
- Weight and volume (in cubic feet)
- Product classification (usually “Dry Goods”)
Armed with this info, Amazon picks a carrier, this could be UPS, FedEx, USPS, DPD, or even Amazon Freight itself. Once assigned, you’ll get an ARN number, which is not to be confused with the ASN (Advance Shipment Notification) you’ll send later.
After that, it’s time to provide your carton-level packing details, which item is in which box.
Timing Can Be Tricky
Here’s where some vendors hit a snag: carrier assignment isn’t always instant. Sometimes it’s lightning fast, other times it takes up to 48 hours, and yes, Amazon says that’s totally normal. So, if you’re aiming for a Thursday pickup, make sure routing is done by Tuesday at 11:59 PM PT to stay on schedule (for U.S. orders).
Only once a carrier is locked in can you move forward with the ASN process in Vendor Central.
What Happens Next, Depends on the Shipment Type:
Small Parcel:
Once you’re assigned a carrier, print labels in Vendor Central, or save yourself the hassle and use third-party software like KhooCommerce to do it automatically. That way, you're not stuck manually downloading every label.
LTL (Less Than Truckload) / TL (Truckload):
The carrier will reach out with pickup details. You’ll usually assign a PRO number from a pre-printed book (yes, that still exists).
Pro Tip: Shipping a Full Truckload? Don’t forget to apply an RFID Seal Tag. Amazon requires it for tracking and compliance.
Once everything’s packed and labeled, wrap it up by sending the ASN when the shipment leaves your site.
Bonus: Amazon’s “Drop & Hook” Programme
For vendors shipping Full Truckloads, Amazon offers a premium option called “Drop & Hook.” Here’s how it works: they drop off an empty trailer, you load it at your own pace, and when it's ready, they swing by to hook up the full one and drop off a new empty.
It's super convenient, but currently invite-only, and limited to FTL shipments.
TheyPay – Also Known as “Prepaid”
Now let’s flip the script. In the TheyPay (or Prepaid) freight model, you, the vendor, are in charge of the shipping. That means you cover the freight costs and take full responsibility for the goods until they arrive at Amazon’s fulfilment centre and get officially inbounded.
This approach is more common in the UK and Europe, and while it gives you more control, it also puts more of the logistics on your plate.
How It Works
Once your purchase order is confirmed, you’re off to the races. Here’s the typical flow:
- Create your ASN, including all the details: which items go in which boxes, which boxes go on which pallets, Amazon loves that granularity.
- Book your own carrier, and coordinate the delivery.
- That carrier then uses Amazon’s CARP portal (Carrier Appointment Request Portal) to schedule the delivery into the appropriate fulfilment centre.
That’s it, no routing request, no waiting on Amazon to assign a carrier. You're in the driver's seat.
A Word on Carriers
If you’re shipping under TheyPay, choosing the right carrier matters. Amazon strongly prefers you work with one of their preferred carriers, and doing so can make a big difference in avoiding late delivery penalties or missed time slots.
Want to keep your delivery performance high? Check out our guide on Hitting Your Delivery Windows for practical tips on staying on Amazon’s good side.
If you use a preferred Amazon Carrier, then you will have a better chance of incurring fewer late delivery charges. See Hitting your delivery windows for a more detailed breakdown on how to ensure your shipments arrive on time.
| Stage | TheyPay | WePay |
| Freight Cost | Owned by the Vendor | Owned by Amazon |
| Freight Liability | By the Vendor and Carrier | By Amazon |
| Booking in Process | Via CARP by the Carrier | Carrier with Amazon |
| Vendor Lead Time to Deliver | By how soon carrier can deliver goods | By how soon carrier can collect goods |
| Purchase Order On time Accuracy Charges | Possible if carrier is delayed | Provided pickup was on time, should never be an issue |
| Administrative workload | Fewer steps to create a shipment | Additional steps to route shipments |
| Cost | You decide which carrier to use and agree rates with them | No direct freight charges, but will be built into your Annual terms agreement, usually as a % of COGS. |
The Bottom Line: Which Freight Model Is Better?
So, WePay or TheyPay? The answer isn’t always in your hands. In many cases, your freight model was baked into your vendor agreement with Amazon years ago. But every now and then, Amazon might reach out and offer you the chance to switch. When that happens, it’s worth knowing the trade-offs.
WePay tends to shine in North America, where long distances and complex routing make it easier (and sometimes cheaper) to let Amazon handle the shipping. You also avoid the headaches of cost fluctuations between destinations thousands of miles apart.
On the other hand, TheyPay is often the go-to in the UK and EU, especially if you’ve negotiated strong shipping rates. With shorter distances and more regional carriers, handling freight yourself can be more cost-effective and gives you more control.
Our Take?
If your current model is working well, don’t rock the boat. The WePay model comes with added admin overhead—think routing requests, ARN submissions, and a bit of waiting around. For most UK and EU vendors, it’s simply not worth the hassle.
That said, if Amazon offers better terms or if you’re looking at real savings, it’s worth considering a switch.
Quick Guide by Region:
- North America → WePay is the standard
- UK / EU → TheyPay is more common
- Other regions (Brazil, Turkey, Australia) → Typically TheyPay, but these are still developing—you may have room to negotiate
Heads up: If you’re working with a 3PL (Third-Party Logistics provider), WePay might add a few more steps. You’ll likely need to walk them through the ARN and routing procesS, or use a platform that streamlines that communication.
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